Marketplaces compound.
Most funds don't know
how to buy them.

Cascade Ventures III — $300M Fund | Series A/B Inflection

3.4x
NET TVPI ACROSS FUNDS I & II
Top-decile, Cambridge 2017–2020 vintages
$41M DPI returned to LPs • 7 marketplace exits
HOW GENERALISTS PRICE MARKETPLACES

SaaS comps,
8-12x ARR

Linear revenue multiples ignoring network density and take-rate expansion curves

HOW CASCADE PRICES THEM

GMV yield +
take-rate expansion

3-5x entry ARR, modeling margin expansion as liquidity crosses tipping point

AVG REALIZED: 18.2x ENTRY ARR

$4.2T of commerce intermediated
by marketplaces by 2028

2018 2020 2022 2024 2026 2028 B2B Supply Chain Labor + Real Estate

Source: Cascade proprietary model + PitchBook overlay

Conviction Holdings

Solvara

Construction labor marketplace
$480M GMV
11% take rate NPS 72

Mercanex

Industrial parts B2B
$310M GMV
9% take rate NPS 68

Blythe Health

Specialty staffing
$190M GMV
14% take rate NPS 81

Dockline

Freight spot marketplace
$740M GMV
6% take rate NPS 64

Pellara

SMB legal services
$55M GMV
22% take rate NPS 79

Vex Produce

Perishable B2B marketplace
$280M GMV
8% take rate NPS 71

84% of DPI came from 6 marketplace bets

$8.2M Solvara $7.1M Mercanex $9.4M Blythe $7.6M Dockline $5.3M Pellara $6.8M Other 12 TOTAL DPI: $41.0M

Funds I + II combined | Realized returns through Q3 2024

The sourcing flywheel

01
STEP ONE

Operator LP network
surfaces deal

40% of LPs are
marketplace founders

02
STEP TWO

Proprietary GMV
benchmarking

Flags tipping-point
liquidity signal

03
STEP THREE

Partner check-in
within 14 days

Median: 9 days
from signal to term

04
STEP FOUR

Co-investment
reserved for LPs

Deepens network,
improves next signal

Fund III Construction

STAGE AVG CHECK COUNT RESERVE RATIO
Series A inflection $12M 12 1.5x
Series B conviction $18M 6 2.0x
Reserve pool — — $84M total
DEPLOYMENT
24 mo
AVG HOLD PERIOD
5 yr
TOTAL POSITIONS
18

LP Base & Value Add

ANCHOR LPs — COMMITTED
Meridian University Endowment $25M
Halcyon Family Office $15M
Trident Pension Advisors $20M
Elevate Capital (FoF) $30M
Strategic operators (3) $24M
60%
INSTITUTIONAL
Endowments, pensions,
family offices
STRATEGIC
Marketplace operators
& founders
WHAT LPs RECEIVE
Priority co-investment rights

$1M–$3M allocations per deal, no carry, at Series B+ rounds

Data room access

Monthly GMV dashboards, take-rate cohorts, NPS trends — full transparency

Portfolio introductions

Warm intros to 18 marketplace CEOs for partnership, talent, diligence

Quarterly LP summits

San Francisco, invite-only, 40 LPs + portfolio CEOs, closed-door sessions

"Cascade's network sourcing found Solvara eight months before it hit our radar. That's the edge."
— Sarah Chen, CIO, Meridian University Endowment
CURRENT MOMENTUM
$187M
soft-circled of $300M target
Remaining capacity: $113M
FUND RAISE PROGRESS 62%
FIRST CLOSE
47 days
January 15, 2025
$10M minimum.
January 15
first close.
Remaining capacity: $113M
Wire instructions and LPA on request
CASCADE VENTURES III — LOCKING THE FLYWHEEL